1. Should be proper cooperation and cooperative- coordination among the departments involved in the purchase. Obtaining and inspecting, storing, selling, producing and accounting so as not to have inadequate availability of materials thereby prohibiting production and decreasing sales. At the same time, the objective of coordination is that there is no excessive investment in content that caused unnecessary carrying costs and obsolete risks.
2. The purchase of materials should be centralized i.e. to avoid careless purchase by all departments and to ensure that all purchases are made at the most reasonable prices, a purchasing department should be authorised to make all of the materials purchase.
3. Material should be reasonable determination.
4. Good method of classification and codification of materials should be adopted.
5. Materials must be reasonable inspection when they are obtained by the recipient department.
6. Standard form for issue demands, orders, transfer materials from one task to another and transfer of materials from work to reserves should be used.
7. Storage of materials should be well employed to avoid theft, negligence, damage, decline, evaporation and damage caused by theft.
8. A good way to issue materials to different should be followed by jobs, orders or processes so as to delivery the correct quantity of the right kind of material at the right time for jobs, orders or processes.
9. Continuous list system of materials should be operated to facilitate regular investigation and to avoid closing factory to take stock. From this system, it is possible to determine the quantity and value of each type of material in stock at any time.
10. A system of internal investigation must be initiated to ensure that all transactions connected to the material are checked by proper authorized and independent individuals.
11. Minimum, maximum and re-order level should be fixed for each type of material to ensure that there is no shortage of material and no over-stocking.
12. The order quantity should also be fixed for each type of material to reduce the cost of placing the order and material carrying the material.
13. The method of evaluation of material issues should be carefully elected as it affects the cost of jobs or processes and the value of the final stock of material in shops.
14. Sufficient records to control the material should be maintained to ensure that the minimum possible waste is.
15. Information on the availability of materials should be made available continuously so as to plan production keeping in mind the balance of stocks in the shops. Information of obsolete and defective stock should also be given to management from time to time so steps can be taken for settlement of such stock.